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Largo Closes Private Placement Financing

TORONTO, ONTARIO--(CCNMatthews - Feb. 23, 2007) -

NOT FOR DISSEMINATION IN THE UNITED STATES OR THROUGH U.S. NEWSWIRE SERVICES

Largo Resources Ltd. (TSX VENTURE:LGO) has closed a non brokered private placement through the issuance of 400,000 Units priced at $0.10 per Unit for total gross proceeds of $160,000. Each Unit consisted of one common share and one common share purchase warrant. Each whole warrant entitles the holder to purchase a common share at a price of $0.60 until February 23, 2008. Each of the common shares and common share purchase warrants are subject to a hold period that will expire on June 24, 2007.

The gross proceeds will be used for development of the Company's assets and for general working capital.

This news release does not constitute an offer to sell or a solicitation of an offer to sell any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

About Largo

Largo Resources is a Canadian natural resource development and exploration company with two advanced stage projects: the Northern Dancer Tungsten-Molybdenum deposit in the Yukon and the Maracas Platinum-Vanadium deposit in Brazil. Largo also has a large (60,000 hectare) land position and prospective gold exploration properties in Ecuador; one of which, the 5,000 hectare Macuchi property, is under option to Aur Resources Inc. The company is listed on the TSX Venture Exchange under the symbol LGO.

THE TSX VENTURE EXCHANGE DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.